Vancouver, BC, Canada – First Majestic Silver Corp. (AG: NYSE; FR: TSX) (the "Company" or “First Majestic”) is pleased to announce the unaudited interim consolidated financial results of the Company for the first quarter ended March 31, 2022. The full version of the financial statements and the management discussion and analysis can be viewed on the Company's website at www.firstmajestic.com or on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. All amounts are in U.S. dollars unless stated otherwise.

FIRST QUARTER 2022 HIGHLIGHTS

Silver equivalent production totalled 7.2 million ounces, up 59% compared to Q1 2021. Total production consisted of 2.6 million ounces of silver and 58,891 ounces of gold
Quarterly revenues totalled $156.8 million, or an increase of 56% compared to Q1 2021
Mine operating earnings of $15.1 million, or a decrease of 46% compared to Q1 2021
Operating cash flows before movements in working capital and taxes totalled $35.3 million, an increase of 14% compared to Q1 2021
Cash costs were $14.94 per AgEq ounce
All-in sustaining costs (“AISC”) (see “Non-GAAP Measures”, below) were $20.87 per AgEq ounce
Net earnings of $7.3 million (EPS of $0.03) or adjusted net earnings of ($6.2) million (adjusted EPS of ($0.02)) (see “Non-GAAP Measures”, below) after excluding non-cash and non-recurring items
Sold a record 156,200 ounces of silver bullion, or approximately 6.0% of the quarterly silver production, on First Majestic’s bullion store at an average price of $27.86 per ounce for total proceeds of $4.4 million
Cash and cash equivalents as of March 31, 2022 was $192.8 million. In addition, the Company has a strong working capital position of $194.4 million and total available liquidity of $294.4 million
Declared a cash dividend payment of $0.006 per common share for the first quarter of 2022 for shareholders of record as of the close of business on May 25, 2022, which will be distributed on or about June 10, 2022
“In the first quarter, we faced a number of obstacles and challenges that were outside of our usual control,” stated Keith Neumeyer, President & CEO. “Not only was Mexico hit hard with the Omicron COVID-19 variant which significantly reduced personnel and production rates across our operations, we experienced increasing inflationary cost pressure across the operating portfolio for reagents and consumables such as diesel, cyanide and grinding media. Cost-cutting measures are underway across the Company to improve profitability and help reduce further impacts to the business. In addition, efforts to improve efficiencies at Jerritt Canyon remain a key focus. As we reached the one-year anniversary of the acquisition, our team has made significant investments and operating improvements within the mines and at the processing plant. As production comes online at the West Generator and Saval II mines in the coming months, we anticipate improved production rates to drive costs lower.”

OPERATIONAL AND FINANCIAL HIGHLIGHTS

Key Performance Metrics 2022-Q1 2021-Q4 Change Q1 vs Q4 2021-Q1 Change
Q1 vs Q1
Operational
Ore Processed / Tonnes Milled 877,118 955,810 (8%) 614,245 43%
Silver Ounces Produced 2,613,327 3,358,809 (22%) 2,908,024 (10%)
Silver Equivalent Ounces Produced 7,222,002 8,561,023 (16%) 4,540,296 59%
Cash Costs per Silver Equivalent Ounce (1) $14.94 $12.32 21% $12.61 18%
All-in Sustaining Cost per Silver Equivalent Ounce (1) $20.87 $17.26 21% $19.35 8%
Total Production Cost per Tonne (1) $118.51 $105.37 12% $90.03 32%
Average Realized Silver Equivalent Price per Ounce (1) $26.68 $24.18 10% $27.13 (2%)

Financial (in $millions)
Revenues $156.8 $204.9 (23%) $100.5 56%
Mine Operating Earnings $15.1 $40.4 (63%) $28.1 (46%)
Net Earnings (Loss) $7.3 ($4.0) NM $1.9 NM
Operating Cash Flows before Movements in Working Capital and Taxes $35.3 $71.8 (51%) $31.1 14%
Cash and Cash Equivalents $192.8 $237.9 (19%) $201.7 (4%)
Working Capital (1) $194.4 $224.4 (13%) $232.8 (16%)
Free cash flow (1) ($40.4) $66.4 NM ($7.7) NM

Shareholders
(Loss) Earnings per Share ("EPS") - Basic $0.03 ($0.02) NM $0.01 NM
Adjusted EPS (1) ($0.02) $0.02 (218%) $0.03 (175%)
NM – Not meaningful
(1) The Company reports certain non-GAAP financial measures which do not have a standardized meaning under GAAP (see “Non-GAAP Measures”, below).

Q1 2022 FINANCIAL RESULTS

The Company realized an average silver price of $26.68 per silver equivalent ounce during the first quarter of 2022, representing a 2% decrease compared to the first quarter of 2021 and a 10% increase compared to the prior quarter.

Revenues generated in the first quarter totaled $156.8 million compared to $100.5 million in the first quarter of 2021, representing a 56% increase primarily due to acquisition of the Jerritt Canyon mine and initial production from the Ermitaño mine at Santa Elena.

The Company reported mine operating earnings of $15.1 million compared to $28.1 million in the first quarter of 2021. The decrease in mine operating earnings is primarily attributed to an increase in cost of sales and depreciation and depletion attributed to the addition of Jerritt Canyon, and these costs were partially offset by an increase in silver and gold ounces sold.

The Company reported net earnings of $7.3 million (EPS of $0.03) compared to $1.9 million (EPS of $0.01) in the first quarter of 2021. The increase in net earnings was primarily attributed to a net income tax recovery of $11.7 million.

Adjusted net earnings for the quarter was ($6.2) million (adjusted EPS of ($0.02)) compared to $7.0 million (adjusted EPS of $0.03) in the first quarter of 2021, after excluding non-cash and non-recurring items.

Cash flow from operations before movements in working capital and income taxes in the quarter was $35.3 million compared to $31.1 million in the first quarter of 2021.

Cash and cash equivalents as of March 31, 2022, was $192.8 million. The Company had strong working capital of $194.4 million and total available liquidity of $294.4 million, including $100.0 million of available undrawn revolving credit facility. In addition, the Company completed its previously announced at-the-market equity offering throughout March and April with the sale of 2.3 million shares of common stock at an average price of $13.53 per share for gross proceeds of $31.4 million.

OPERATIONAL HIGHLIGHTS

The table below represents the quarterly operating and cost parameters at each of the Company’s four producing mines during the quarter.
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Q1 2022 DIVIDEND ANNOUNCEMENT

The Company is pleased to announce that its Board of Directors has declared a cash dividend payment in the amount of $0.006 per common share for the first quarter of 2022. The first quarter cash dividend will be paid to holders of record of First Majestic’s common shares as of the close of business on May 25, 2022 and will be distributed on or about June 10, 2022.

Under the Company’s dividend policy, the quarterly dividend per common share is targeted to equal approximately 1% of the Company’s net quarterly revenues divided by the Company’s then outstanding common shares on the record date.

The amount and distribution dates of future dividends remain at the discretion of the Board of Directors. This dividend qualifies as an ‘eligible dividend’ for Canadian income tax purposes. Dividends paid to shareholders outside Canada (non-resident investors) may be subject to Canadian non-resident withholding taxes.